| Valuation method | Value, € | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 139.54 | 12528 |
| Intrinsic value (DCF) | 521.92 | 47133 |
| Graham-Dodd Method | n/a | |
| Graham Formula | 0.22 | -80 |
Pyramid AG (M3BK.DE) is a Germany-based technology company specializing in customized IT solutions and industrial computing. Founded in 1985 and headquartered in Freiburg, the company develops and manufactures self-service terminals, industrial PCs, network security solutions, and indoor localization systems. Its flagship products include the polytouch series of self-service kiosks, which feature advanced functionalities like temperature measurement and cash handling, catering to sectors such as retail, healthcare, and public access management. Pyramid AG also offers innovative mobile applications like 'please come in' for food ordering, enhancing its digital service portfolio. Operating in the financial services sector under asset management, Pyramid AG combines hardware and software expertise to deliver tailored solutions for industrial and commercial applications. With a market cap of approximately €20.9 million, the company serves a niche market with specialized technology needs, positioning itself as a provider of high-performance, modular IT infrastructure.
Pyramid AG presents a mixed investment profile. The company operates in a specialized niche with its customized IT solutions, which could offer growth potential in industrial and retail automation. However, its financials reveal challenges, including a net loss of €4.98 million in FY 2023 and negative diluted EPS of €0.22. Positive aspects include a solid operating cash flow of €8.64 million and manageable debt levels (€10.97 million). The lack of dividends and modest market cap suggest higher risk, but its low beta (0.49) indicates relative stability compared to the broader market. Investors should weigh its technological niche against its profitability struggles and sector competition.
Pyramid AG competes in the industrial computing and self-service kiosk market, where differentiation through customization and modular design is critical. Its polytouch kiosk series offers unique features like temperature measurement and cash handling, giving it an edge in sectors requiring secure, multifunctional terminals. However, the company faces stiff competition from larger industrial PC manufacturers and IT solution providers with greater scale and R&D budgets. Pyramid’s focus on niche applications (e.g., machine vision IPC, HMI displays) allows it to avoid direct competition with mass-market players, but its limited global reach and reliance on the DACH region (Germany, Austria, Switzerland) could constrain growth. The company’s strength lies in its ability to tailor solutions for specific industrial use cases, but its financial performance lags behind peers, suggesting inefficiencies or pricing pressures. Its indoor localization system and mobile app offerings provide diversification but are not yet significant revenue drivers compared to core hardware products.